'However, if the attacker is able to take advantage of a kernel bug, they may be able to escape from the container environment. ... every container runs in a different context and SELinux will forbid cross-context access, preventing any further damage from occurring.'
In this scenario SELinux will only protect you from very specific kernel bugs.
SELinux will not protect you against any kernel bug that either gives you a memory write primitive or gives you control over RIP. (Since you can just trash all the SELinux protections). It is only going to protect you from logic bugs where the kernel accidentally gives you filesystem access you weren't meant to have or something similar. Bare in mind that some of the recent kernel bugs relating to namespaces have been logic bugs.